Which of the Following Statements Is Correct

question 31

Multiple Choice

Which of the following statements is correct?

• A) Under legitimacy theory, organisations disclosing information, in an endeavour to appear legitimate to the societies in which they operate.
• B) Under legitimacy theory, accounting disclosure policies are considered to constitute a strategy for influencing the organisation's relationships with the parties, or stakeholders, with which it interacts.
• C) Legitimacy Theory relies on the theoretical notion of a social contract, where there is multiplicity of implicit and explicit expectations that society has about how an organisation should conduct its operations.
• D) Organisations maintain their right to exist by compliance with their social contract by establishing congruence between the social values associated with or implied by their activities and the norms of acceptable behaviour in the larger social system of which they are a part.
• E) None of the given answers.

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Definitions:

Intrinsic Rewards

Refers to the internal and psychological rewards individuals receive from engaging in activities that are inherently satisfying or fulfilling.

Symbolic Tokens

Items, gestures, or actions used to represent or signify larger concepts, beliefs, or values.

Work Setting

The physical and social environment in which professional duties are carried out.

Merit Pay

A compensation strategy that rewards employees based on their performance or achievements, often used as an incentive for higher productivity.